It is a document that all employers have to be familiar with, and, when it is updated, it can feel like a headache- the Employment Rights Bill.
From 2024, through 2025, there has been some significant restructuring of this document and, with the minimum wage increase in April 2025, many business owners and staff are curious about how the changes will impact their jobs.
It is a lengthy document, but here, some key points will be highlighted in jargon-free English, where possible, to help employers and staff make sense of it. So, enjoy!
Table of Contents
Probation Periods and Unfair Dismissal
Most people who have started a job in the UK know the probationary period. It can range from three to six months, and, during that time, a staff member can have their job terminated without the typical warning process being needed.
According to the Employment Rights Bill, the probation period is preferred to be nine months, and if requested, employers will need to give written reasons as to why they are requested to do so by the staff member who has been dismissed. So, you will need to alert your HR Dept about this policy change, as not giving written reasons for the dismissal could lead to legal issues.
This rewrite is not expected to come into effect until 2026, so there is a lot of time to read more into it!
Zero-Hour Contracts
It should come as no surprise that zero-hour contracts have been under scrutiny and, as such, a key change in this area of employment law is due to be implemented in the coming months. In simple terms, these contracts cannot include clauses that will prevent staff from working elsewhere, which could obviously have limitations on a staff member’s earning power.
The bill also seeks for employers to offer an employee guaranteed hours after the end of every reference period, which will be more likely if the number of hours that they are working exceeds the amount set in their initial contract. If you need help with looking at your contracts, then outsourcing it to a company like HR Dept could save your teams a lot of time and money.
Flexible Working
There have been some major shifts in the way people work since the pandemic and, as outlined in the Employment Rights Bill, employees now have the right to request flexible working from day one on the job. It requires any employer to give a solid reason as to why they may not be able to offer flexible working, and there may be a penalty issued if it is discovered that the reason given does not meet the criteria set out in the bill.
So, it’s best to read through the bill to get an idea of what reasons for not allowing flexible working are considered legal or not.
Sexual Harassment
Most people have heard of sexual harassment in the workplace, and, in the Employment Rights Bill, there have been some actions put in place to change the steps that can be taken to prevent the harassment from occurring.
The law will be strengthened to require all employers to take reasonable steps to prevent workplace harassment and the Bill sets out what these steps are. If there is a breach, the employer can be fined if a report of sexual harassment is made.
Menopause Action Plans
Historically, employment and employers have been legally required to manage staff members who are going through menopause.
However, under the Employment Rights Bill, employers with two hundred and fifty-plus staff members have to produce and publish menopause action plans as part of the Equality Action Plan. This set of regulations includes punishments for not doing so. At the time of writing, the menopause action plans are not required to be published more than once every twelve months.
In short, companies have to accommodate menopause-related issues in the workplace, such as leave and absence policies, to help support employees who are going through menopause. Employers will also need to consider environmental temperatures, which can impact issues related to workers becoming overheated, which may exacerbate symptoms. Employers will also have to implement flexible working arrangements for workers who are going through menopause and offer health assessments as and when needed.
Holiday Entitlement and Records
The new Bill imposes an obligation for all employers to keep records that showcase their compliance with holiday entitlement laws. This includes the amount of leave and the pay. At the time of writing, there is no set format for these records, and they must be kept in the business paperwork for up to six years. Failure to comply will result in a criminal offense, which may be punishable by potentially unlimited fines.
